U.Today – (BTC), the top cryptocurrency, is attempting to test the crucial $60,000 level after its painful fall a couple of days ago. To a large extent, this rally should be attributed to the increased activity of US investors, as evidenced by the dynamics of Coinbase (NASDAQ:) Premium.
Bitcoin (BTC) investors in the US are buying, says Coinbase Premium
After two weeks in the red, Coinbase Premium, a crucial indicator of US investors' Bitcoin (BTC) buying activity, is moving back into the green zone. During the worst moments of the latest crash, it fell to -0.15%, as demonstrated by on-chain analyst @IT_Tech_PL from the CryptoQuant community.
Today, the indicator has already reached 0.1%. This means that the price of Bitcoin (BTC) in the USD pair on Coinbase Pro is 1% higher compared to the BTC/USDT rates on major spot exchanges.
As such, the analyst notes, this could indicate a growing interest from US investors in buying Bitcoin (BTC) at current prices.
For context, when the price of Bitcoin (BTC) hit its first local high above $70,000, Coinbase Premium rose by 0.4%. By mid-January 2022, the indicator fell to -0.4%, according to the data.
The surge in Bitcoin (BTC) price resulted in cryptocurrency liquidations worth $213 million; almost 50% of this sum were short positions.
In the case of Bitcoin (BTC), the market was even more merciless with the bears: 61% of the liquidated positions were short positions on the XBT/USD pairs.
What's worse for BTC?
As markets recover from the crash, traders’ optimism is growing stronger. As U.Today previously covered, today, a seasoned blockchain analyst outlined 10 reasons to be optimistic right now.
In particular, he mentioned the role of the BTC narrative in the US presidential race, the exhaustion of larger and more aggressive sellers, and the absence of dangerous CeFi services.
Raoul Pal issued the same opinion last weekend. The Real Vision CEO stressed that he was not selling and that he only treated the BTC price drop by $50,000 as a “reshuffle.”
This article was originally published on U.Today
